Wheeling register. [volume] (Wheeling, W. Va.) 1878-1935, 1887-12-08
EXCESSIVE TAXATION
THB GREATEST DANGER TO FINANCIAL
PROSPERITY.
Secretary Pairehids Report and Recommendations
b COngeSs-Ths Surplus Receipts for the
Past AethOdsOf Tax Reducing
Revising Custom Duties.

Secretary of the Treasury in his annual re-
port submitted to Congress to-day, says
that the total ordinary receipts of the Gov
ernment during the year ending June 30,
1887, were 1871, ,4O3, 277, and that the tot
n ordinary expenditures were S315, ,S35,
i2S, leaving a surplus of S55, ,567, $40,
which, with an amount drawn from the
cash balance in the treasury OF ga, AS,
72O, make total surplus of $50, ,023, $40,
which we offered for the redemption OF
bonds. The receipts for the year show an
increase of S34, 963, $50 over the year be-
fore and the expenditures show an in
crease Of So, ,449,O4l. For the present
year the revenues are estimated at $685.
600, 900, aud the expenditures 1916, ,ol7,-
TS5, leaving an estimated surplus of $685.
IT,, ,2ll, June 30, lsSS
The Secretary estimates the surplus for
the year 1-S9 at $50, 469, ,2O6.
THE SURPLUS REVENUE.
In regard to the surplus revenue the
Secretary says:
Taxation and currency reform were
the questions which my distinguished pre-
deesssor deemed to be of the most press
ing Importance, and to them he devoted q
large part of the two annual reports He
stated honest convictions with vigor and
boldness, which, together with the ability
and fairness that he showed in the general
management of this department, have
given him high place among statesmen
and linancierS / find the same subjects
IN be still the most important of all
those To which it is my duty
to call your attention, and 1t is
not necessary TO DO otherwise than follow
the general lines laid down by him in
treating them. Circumstances have heigh-
tened the immediate urgency of taxation
reform rs affecting the surplus revenues OF
the government. The urgency is so great
that the question of surplus revenue de.
mauds the earnest attention Of both the
legislative and executive branches Of the
government
The Secretary then gives the following
ways in which the receipts and eSpendi-
tures OF the government may be made
about equal:
"First-The purchase OF the interest
bearing debt of the government.
Sec0ud-Larger expenditures by the
government tor other purposes than the
purchase of bonds so that they shall each
year equal the taxation of that year.
"Thigd-ReduCtiOn OF the revenue from
taxation to the amount actually required
10 meet necessary expenses.
IAN OF these expedients have in common
the one merit o! preventing the derange-
u,,nt of business which must follow hoard
.ng on locking up in the Treasury the cir
cun'ing media Of the people
THE METHODS DISCUSSED.
In regard to the first plan the Secretary
agrees with what the President in his mes
sage said on the same subject. He then
says Il cannot believe that you will
adopt the second expedient, viz: the en-
largement OF government expenses simply
10 expend money raised by taxation when
the public veal does not otherwise call for
the expenditure.
Reduction OF the revenue from taxation
is the only fit remedy for the ills which
threaten the country. This may be ac-
cOmplished in various ways. One Is to re-
dure or abolish internal revenue taxation.
In favor Of this is the fact that in small
part of the Southern States the internal
tax on liquor and tobacco is thought 10 be
oppressive, and is OdiOus to the people OF
those regions; and the further fact that by
it, reduction the expenses of its collection
might be somewhat reduced. The chief
cause for the prejudice against this tax
seems to be that as there was no such
tax before the war for the Union, it
is looked upon aS remainder OF the
measures adopted to raise money 10 carry
on the war and which ought to be contin-
ued in time of peace, and as interfering in
some way with the natural rights OF man.
kind to grow grain aud tobacco and manu-
facture therefrom cigars, snuff and various
forms OF mercantile tobacco. OF course
TAXATION OF WHISKY
and tobacco trespasses no more upon the
natural rights of man, than does the taxa
ton of his clothing, or his bedding, OF
every implement which he uses in the cul-
tivatiOn OF his grain aud tobacco, and in the
distillatiOn or manufacture Of the same.
The burden OF the one tax
is direct known and fixed; the whole Of
il goes into the Governments treasury.
The burden OF the other is indirect and
unknown, and only portion Of it comes
into the treasury. Ii reaches the farmer
or distiller increased by the profit upon
itself, which every merchant must take
as the clothing or tools pass through his
hands on their journey to them from the
foreign or domestic manufacturer.
Taxation there must be. The choice
is between kinds of taxation. Each man
can decide for himself, ii he will examine
the subject free from prejudice, which Is
THE LEAST BURDENsuME
for him, for his family and for his neigh
bors. and which is in the end better for his
whole country. That internal taxation OF
spirits and tobacco began during the wal
is not q reason why il should be done away
with now, if il be in itself wise. So also
the fact that the rates of custom taxation
were raised during the same war and are
higher than ever before in our history, and
have been continued until now We ought
not 10 determine the manner of their treat
ment; this should rather depend upon
what is inst and eXpedient at the present
time.
TOO MUCH REDUCTION.
To do away with the whole revenue
from internal taxes at present would SC
diminish the revenues that it would be
necessary either to lay duties on articles oi
importation now free, such as tea and cof-
fee, or to suspend the sinking fund require
ment and also materially diminish the
other expenses of the government. But 1t
is not well either to abolish or reduce in-
ternal revenue taxation,'it is tax upon
whisky, beer and tobacco, things which
are in very small measure necessary to
the health or happiness of mankind; ii
they are necessary to any unfortunate
man, they are far less necessary to
him than are the the thousand articles
which the government taxes. This tax
is the least burdensome, the least uni ust
of all the taxes which Government lays,
or can lay upon the people. 1t shonld not
be abolished, nor should it be reduced, il
with due regard to the existing conditions